Key Insights:
- 869,000 ETH were accumulated around $3,700, creating a dense resistance level for price action.
- ETH bounced from 200MA, 200EMA, and 0.618 Fibonacci, holding the mid-range between $2.8K–$4.1K.
- Price approaches CME gap at $3,434, while $3,500 acts as near-term resistance to watch.
On-chain data shows that approximately 869,000 ETH were accumulated in the $3,662 to $3,678 range. This area now acts as a key resistance zone. Many wallets acquired Ethereum in this price band, which creates selling pressure when the price approaches it again.
The cost basis heatmap from November 5 confirms the supply cluster, with a large concentration of tokens held in that price area. Price has tested this level multiple times since September but failed to hold above it. These repeated rejections suggest the market is struggling to break past the $3,700 mark.
Ethereum Nears CME Gap at $3,434
Data from the CME futures market shows a gap level at $3,434, which is often revisited by spot price action during the new week. ETH was now trading just below that, around $3,398. The move appears to be an attempt to close the gap that formed over the weekend.
Volume around this level is building. According to market watchers, this area may act as a short-term target. “Expect Monday opening to be around this zone,” said one trader. While there is no guarantee of a full retrace, traders continue to monitor this range for short-term setups.
Bounce From Support Zones Holds for Now
Ethereum recently bounced off a group of support levels. These include the 0.618 Fibonacci retracement near $3,202, the 200-day moving average, and the 200-day EMA on the 3-day chart. These levels created a confluence of support, triggering a short-term bounce.
ETH was now trading near the mid-range between $2,800 and $4,100, an area with high historical trading activity. Volume Profile data shows this zone as the most active in recent months. Holding this level is important to avoid further downside pressure.
Price Range Defines Near-Term Outlook
There is short-term resistance near $3,500, a level that previously rejected price during the October flush. If ETH cannot push above this zone, it may remain range-bound or begin to move lower. If support near $3,200 fails, a move toward $2,800 becomes more likely.
Broader structure remains mixed. The weekly chart is stable, but the daily trend is down. Traders are watching this zone closely. One analyst warned, “Don’t get too bearish at support and don’t get too excited against resistance.” The market remains in a wait-and-see phase.
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Source: https://coincu.com/analysis/ethereum-hits-3700-wall/